Municipal Power Systems,
The whole matter could
wind up in court, with the Utah municipalities and Rocky Mountain Power
vowing to do whatever is necessary to clear the way for the new unit.
"We have no problem if they don't want to participate in building that
unit," said spokesman Dave Eskelsen of Rocky Mountain Power, which takes 4
percent of the power produced by IPP and is interested in getting more to
meet its customers' demands.
Rocky Mountain Power, however, considers it improper for those
California cities - Los Angeles, Pasadena, Anaheim, Burbank, Glendale and
Riverside - to block needed generating capacity in Utah to satisfy
California's environmental laws.
The IPP is an 1,800-megawatt, coal-fired generating plant operated by
the Salt Lake City-based Intermountain Power Agency, which represents the
interests of the 36 municipalities, electrical cooperatives and
investor-owned utilities that get power from the facility.
The proposed third unit, if it is built, would add another 900 megawatts
of generating capacity. One megawatt is enough to provide power to 750 to
1,000 homes.
Reed Searle, general manager of the IPA, said his organization has no
choice but to dump development plans for the third unit because of the six
California cities' refusal to cooperate with those who want it built.
"We have no doubt that they [Rocky Mountain Power and the 23 Utah
municipalities] will need the power," said Searle, whose organization finds
itself in the middle of a high-stakes dispute among its members.
"Unfortunately, we can't get the support to get construction of that third
unit done."
IPA had expected to be able to get signed construction contracts for the
third unit by the end of the year, Searle said.
Searle said that in his 19-year history with IPA, it has been very rare
when there wasn't a unanimous vote among stakeholders on how the plant
should be run.
"It was a major shock to us," Searle said of the California cities'
decision. "And I'm sure it has a lot to do with that state's new initiatives
to fight global warming."
Among California's new environmental initiatives is the Global Warming
Solutions Act of 2006, a law signed by Gov. Arnold Schwarzenegger. It sets
up a statewide program to cap all greenhouse gas emissions from major
industries in California and includes penalties for noncompliance.
Spokesman Joe Ramallo of the Los Angeles Department of Water and Power,
which takes nearly 45 percent of the power produced from the IPP, declined
to discuss his city's dispute with Rocky Mountain Power and UAMPS.
However, his agency announced in 2003 that it wasn't going to buy any
more electricity generated from coal.
"We've committed that 20 percent of the power we provide will come from
renewable resources by 2010 and 35 percent by 2025. Right now we're at 9
percent and climbing," Ramallo said.
steve@sltrib.com
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